Understanding Your CP102 Notice
We made changes to your return because we believe there’s a miscalculation. You owe money on your taxes as a result of these changes.
What you need to do
- Read your notice carefully—it will explain why you owe.
- Compare the figures on the notice with your tax return.
- Pay the amount owed by the date on the notice’s payment coupon.
- Make payment arrangements if you can’t pay the full amount you owe.
- Contact us within 60 days of the date of your notice if you disagree with the change(s) we made.
- If you agree with our change(s), correct the copy of your tax return that you kept for your records.
You may want to...
- Download copies of the following materials (if they weren’t included with your notice):
- Call 1-800-829-FORM to have forms and publications mailed to you.
payment options and how to make a payment arrangement.
- Complete and send us a Form 2848, Power of Attorney and Declaration of Representative to authorize someone (such as an accountant) to contact us on your behalf.
Answers to common questions
How can I find out what caused my tax return to change?
Please contact us at the number listed on your notice for specific information about your tax return.
What should I do if I disagree with the changes you made?
If you disagree, contact us at the toll free number listed on the top right corner of your notice. If you contact us in writing within 60 days of the date of this notice, we’ll reverse the change we made to your account. However, if you’re unable to provide us additional information that justifies the reversal and we believe the reversal is in error, we’ll forward your case for audit. This step gives you formal appeal rights, including the right to appeal our decision in court before you have to pay the additional tax. After we forward your case, the audit staff will contact you within five to six weeks to fully explain the audit process and your rights. If you don’t contact us within the 60-day period, you’ll lose your right to appeal our decision before payment of tax. If you don’t contact us within 60 days, the change won’t be reversed and you must pay the additional tax. You may then file a claim for refund. You must submit the claim within three years of the date you filed the tax return, or within two years of the date of your last payment for this tax.
What happens if I can’t pay the full amount I owe?
You can arrange to make a payment plan with us if you can’t pay the full amount you owe.
Am I charged interest on the money I owe?
Not if you pay the full amount you owe by the date on the payment coupon. However interest accrues on the unpaid balance after that date.
Will I receive a penalty if I can’t pay the full amount?
Yes, you will receive a late payment penalty. You can contact us at the number given on your notice if you’re unable to pay the full amount shown in your specific notice because of circumstances beyond your control. Contact us by the due date of your payment and, depending on your situation, we may be able to remove the penalty.
Tips for next year
Consider filing your taxes electronically. Filing online can help you to avoid mistakes and to find credits and deductions for which you may qualify. In many cases you can file electronically for free. Learn more about e-file.